Course description

Economic Theory

Introduction

People and firms make decisions every single day. Students may have to decide which master program to attend. Education providers may have to decide which master programs to offer, and at what price. In these problems, the basic issue it to make a choice from a set of available alternatives, which immediately raises a number of basic questions. How are individuals’ decisions made? How should we expect firms to interact in a given market setting? How do people and firms react to changes in their environment?

Microeconomics is the basic tool for understanding economic peoples' and firms’ decision-making, and for understanding the allocation of resources in complex market-oriented economies. This course provides the students with concepts and models used in modern microeconomic analysis.

Course content

Main topics are:

  • Choice theory
  • Equilibrium analysis
  • External effects
  • Public goods
  • Uncertainty
  • Game Theory
  • Information problems

Learning outcome knowledge

The aim of this course is to provide a comprehensive understanding of markets and of how people and firms make optimal decisions when:

  1. they are constrained by technology, available resources and information;
  2. and interact with each other in a market.

More specifically, students will gain fundamental knowledge about:

  • Choice theory;
  • Market equilibrium and efficiency;
  • Game Theory.

Exam organisation

  • Written exam: 100%